Goward's challenge: $213m to pay mothers

Sex Discrimination Commissioner Pru Goward has challenged the Federal Government to give 85,000 working mothers 14-weeks' paid maternity leave in next year's budget.

The relatively low cost of the plan - $213 million - was the selling point pushed by Ms Goward yesterday as she revealed her blueprint for a national scheme.

She said it was half the cost of the $500 million baby bonus for stay-at-home mothers and one-tenth the price tag of family tax benefits. "It is clearly affordable and should be introduced immediately."

Ms Goward said it was not a revolutionary plan or world's best practice but a crucial first step to catch up with the rest of the world and give relief to low-income and low-skilled working women having a baby.

Prime Minister John Howard said it would be considered as part of a work-and-family package before the May budget. Family Services Minister Amanda Vanstone said parts of the plan were "reasonably sensible".");document.write("

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Ms Goward's report called for women in paid work to receive a non-means-tested, 14-week, taxpayer-funded maternity leave. It would be taxable and set at a maximum of $431 a week. The pay would be available to full-time, part-time and casual workers, the self-employed and contractors if they worked for 40 weeks in the year before giving birth.

Women who choose to take the taxpayer-funded scheme would be required to trade away the baby bonus for 12 months, the family tax benefit part A and B and the maternity allowance.

Ms Goward said independent analysis predicted the scheme would cost $460 million in its first year but $213 million after the trade-off. Over four years it would be $864 million.

Last night it was unclear whether women who already received employer paid maternity leave would be able to double dip. Ms Goward insisted the report did not advocate this.

She said this was "administrative detail" for the government's 135,000 public servants to iron out. Employers currently paying maternity leave could use the money for other family-friendly programs.

However, the report was unclear as to how double dipping would be prevented, given that some women are guaranteed money from their employer under workplace agreements.

ACTU president Sharan Burrow said it was an "optimistic day for working women" but Australian Manufacturing Workers Union national secretary Doug Cameron said the union wanted its 250,000 female workers to be eligible for maternity leave at full pay and would push employers to make top-up payments.

Australian Chamber of Commerce and Industry chief Peter Hendy said the report was "deficient and flawed" because it would open the doors to unions to pursue $750 million in mandatory employer-funded top up payments through compulsory arbitration claims.

But the Australian Industry Group's Bob Herbert welcomed Ms Goward's report as "progressive, affordable and responsible".

Ms Goward said 14 weeks was the "bare minimum" and while there was a strong claim for six months' paid leave it was important to "get the principle accepted".

Labor leader Simon Crean said he would announce a paid maternity scheme next year.

Victorian Premier Steve Bracks welcomed the report's recommendations.

Shop assistants union boss Joe de Bruyn said Ms Goward's report was a good start but it excluded non-working women.